BREAKING NEWS: $130b Job Keeper Package May Allow You To Keep Staff Through Crisis

Could the government’s latest stimulus package save thousands of jobs?

In an unprecedented move by the Australian government, Prime Minister Scott Morrison has just announced the ‘Job Keeper’ package, worth a mind-blowing $130 billion.

If you are a small business owner and have had to stand staff down recently due to the impact of COVID-19, you may be eligible to receive a salary subsidy through the ATO, allowing you to keep your staff employed for at least six months.

The flat rate payment of $1,500 per fortnight and employee is available to any small business that has experienced a loss of revenue of at least 30%, and applies to full and part time workers, sole traders, and casuals who have been with their employer for 12 months or more. The payments will also apply to not-for-profit entities and to workers from New Zealand on 444 visas.

The payments will be issued from May 1, and will be backdated to March 1, 2020. While people cannot access both Job Seeker and Job Keeper payments, the Prime Minister has urged employees who have recently been stood down to contact their employers to see if they have registered for the subsidy.

“The key point here is we want to keep the employer and the employee formally connected, because on the other side of the coronavirus, we want businesses to bounce back stronger than ever. By having people still connected to their employer, that will help that recovery phase, as well as obviously through this process providing increased incentives for people to stay in employment,” said Treasurer Josh Frydenberg today.

With thousands of people in the aesthetics industry having lost their jobs last week, this package could allow them to be re-hired by their (former) employers.

Keep checking back for more information on this over the coming days.

7 thoughts on “BREAKING NEWS: $130b Job Keeper Package May Allow You To Keep Staff Through Crisis

  1. Just a question that has not been discussed
    if an employer is eligible for the Jobkeeper Subsidy with a pool of casual staff that have been loyal for many years and have put up with fluctuating hours to meet the needs of the business not the other way around (Community Hotel)
    what if the employer does not apply when they can? leaving casual in limbo, and can the ATO impose this package on the employer ????
    should’nt the staff have that right

    1. Hi Sophie,
      you raise a valid point. We’ve asked accountant James Mansfield and this is what he said:

      “As far as I can understand the employer must register so the employees can register. So, if the employer decides he doesn’t want the payment, or he wants to close the business down he/she can choose to do that. I guess the employees could go to fair work and complain. But at the moment it’s the employer’s responsibility to register and pay.”

      We hope this helps!

      1. Can anyone answer if you are a contractor (sole trader) with an ABN working in a clinic, do you have had to be working for that company for 12 months like a casual does to be eligible for the jobkeeper?
        Thanks,
        Louise

        1. Hi Louise,

          we don’t believe so. As a sole trader you can apply independently from your employer. But it’s best to talk to your accountant to clarify.

  2. Employee eligibility question:
    I worked for my company for 11 months as part time. But they changed my contract to casual contact on the 3rd of March. Would I still be eligible as I was part-time on the 1st of March before the contract switch ? Otherwise I’m not eligible for casual payment because the 12 minimum rule 😔 I’m confused

  3. With no cash flow how can an employer pay the employee $1500 per fortnight to claim back from Jobkeeper program???

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